“This bill will help Alaskans realize the dream of getting our vast North Slope natural gas reserves to market,” Senator Wielechowski said. “It’s a simple step we can take to move a gas line project forward and provide energy cost relief
to Alaskans.”

SB 33 will help pipeline owners during a critical period – construction – when they are spending vast sums and generating no revenue. It could cut property taxes by millions, boosting project economics during the early years.

The bill would also benefit those who ship gas down the line by reducing the cost of shipping and therefore increasing the value of their gas. That, in turn, would help attract buyers of Alaska gas, which is critical to getting a gas line project off-the-ground. The state would also benefit over the long-term as it would receive greater production tax revenue as a result of higher profits for shippers.

“Whether we go with a small bullet line or a big export line to Asia, this bill makes good business sense for the state,” Wielechowski added. “A small sacrifice up-front could yield big benefits down the road.”

Wielechowski noted that construction of a pipeline would create:

o up to 10,000 high-paying jobs for Alaskans during peak construction, with in-state spending on wages, goods and services of up to $6 billion